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Forum global sur la sécurité alimentaire et la nutrition • Forum FSN

Pakistan - Priority areas for investment in the agricultural sector

Pakistan has great potential in agriculture. About 27 percent of the total 79.6 million hectares of the country is under cultivation. Agriculture contributes about 24 percent of the GDP and employs 47 percent of the labour force. Most subsectors of agriculture have either remained static or have declined during the last three decades, with the exception of livestock. Therefore, there is considerable scope for improvement in production and in the processing of primary output. The World Bank, working in partnership with local and international collaborators, including the Investment Centre of FAO, has identified key areas that require priority interventions if the agricultural sector is to address the challenges of rural poverty, and maximize its contribution to export growth and national development. These areas are:

• Agricultural research and extension

• The seed sector

• Water resources

• Rural finance

This document outlines in detail the rationale for an intervention as well as the possible investment areas to support the Government of Pakistan in each subsector. Potential interventions that the Bank could champion are summarized below for each of these areas. The Bank appreciates that it is important that it work closely with all relevant stakeholders, and in particular, the National Agriculture Forum, in addressing the bottlenecks that are impairing the growth prospects of Pakistan’s agricultural sector.